汽车租赁行业报告英文

1、INDUSTRYOverview of Chi na's car rental and car service in dustryMarket overviewCar ren tal market. Car ren tals refer to ren tal of a vehicle drive n by the customer for a specified period of time. The car ren tal market primarily con sists of two types of service offerings: (i) short-term car

2、rentals, which have a term of less than one year and are primarily target ing in dividual customers, and (ii) lon g-term car ren tals, which have a term of one year or longer and are primarily targeting corporate clients.Car service market. Car services refer to rental of a vehicle accompanied by a

3、driver for a specified period of time, which primarily target corporate clie nts.Chin a's car ren tal and car service in dustry is still at an early stage of developme nt and has experieneed rapid growth in recent years. According to Frost & Sullivan, the total market size of China's car

4、 rental and car service industry grew from RMB10.7 billion in 2009 to RMB29.7 billion in 2013, representing a CAGR of 29.1%. Frost & Sullivan projects that the total market size of China's car rental and car service industry will continue to grow to RMB56.3 billion by 2017, or representing a

5、 projected CAGR of 17.3% from 2013 to 2017. Such growth rate, however, as well as other industry projections made by Frost & Sullivan and disclosed in this prospectus, are not guara nteed.The table below sets forth the total market size of China's car rental and car servicein dustry by reve

6、nues for the periods in dicated:Total market size of China car ren tal and car service in dustry by reve nues, 2009-2017EinSource: Frost & Sullivan108When compared to car ren tai and car service in dustry in other developed markets, Chi na's market today is characterized by relatively low pe

7、netration rate and high level of market fragmentation:Low penetration rate. The car rental and car service penetration rate refers to the aggregate n umber of ren tal and service vehicles divided by the aggregate n umber of passe nger vehicles in the releva nt cou ntry or regi on. Accord ing to Fros

8、t & Sulliva n, the pen etrati on rate is an importa nt in dicator of the maturity of a car rental and car service market. In 2013, the penetration rate in China was 0.4%, which was sig nifica ntly lower than that in the Uni ted States (1.7%), Japan (2.6%) and Korea (2.5%), according to Frost &am

9、p; Sullivan. The relatively low penetration rate in China indicates a strong potential for future growth. The chart below sets forth the car rental and car service penetration rates in different countries in 2013:Car ren tal and car service pen etrati on rate in 2013Source: Frost & SullivanHigh

10、market fragme ntatio n. Chi na's car ren tal and car service in dustry is highly fragme nted.Accord ing to Frost & Sulliva n, the top three players in aggregate accou nted for 10.7% of Chin a's car rental and car service industry in 2013. By contrast, other countries have witnessed and c

11、urrently enjoy much higher degrees of consolidation. For example, according to Frost & Sullivan, in 2013, the market share of the top three players reached 95.4% in the United States, 32.4% in Japan and 48.1% in Korea. Therefore, we believe that consolidation presents an opportunity in China'

12、;s car rental and car109service industry. The chart below sets forth the market share of the top three players in the car rental and service in dustry of differe nt cou ntries in 2013:Market share of the top three players in the car rental and service industry in 2013 fl IiLrwui出龙i汕ip|*n(Ofijf tilbi

13、R-iYSource: Frost & SullivanCompetitive lan dscapeKey players in China's car rental and car service industry include private-owned companies, such as eHi and China Auto Rental, and affiliates of state-owned automobile manufacturers in China such as Shouqi and Dazhong. International car renta

14、l and service companies primarily compete through partnership with domestic car rental and service companies. For example, Enterprise, the largest car rental and service company in the world, is our strategic shareholder, while Hertz and Avis have in vested in and part nered110with China Auto Rental

15、 and Shanghai Automotive, respectively. The chart below sets forth the market share of the top three players in Chin a's car ren tal and car service in dustry in 2013 by reve nues:Market share of the top three players in China's car rental and car service industryby reve nues, 2013Total mark

16、et sije = RMB29J40 millionSource: Frost & SullivanCompetition among car rentai and service companies is primarily based on, among other things, bra nd recog niti on, n etwork coverage, price, quality and convenience of services, ability to provide tailored services, operati ng efficie ncy and va

17、riety of service offeri ngs.Chi na's car ren tal marketMarket sizeThe car ren tal market primarily con sists of two types of service offer in gs: short-term car ren tals and lon g-term car ren tals, which are target ing differe nt types of customers and service n eeds. Dema nds for short-term ca

18、r ren tals primarily come from in creas ing leisure travels by in dividual customers and gen eral car usage n eeds of lice nsed drivers who do not own cars. Dema nds for lon g-term car ren tals primarily come from car usage needs of corporate clients who seek to enjoy the flexibilities of alter nati

19、ve car own ership. Accord ing to Frost & Sulliva n, the market size of Chi na's car ren tal market, as measured by reve nues, has in creased from RMB9.4 billio n in 2009 to RMB26.7 billio n in 2013, representing a CAGR of 29.8%. Frost & Sullivan estimates that the market size of China

20、9;s car rental market will continue to grow to RMB51.0 billion by 2017, representing a projected CAGR of 17.6% from 2013 to 2017. Corresp ondin gly, the fleet size of Chi na's car ren tal market has in creased from 128,962 units in 2009 to 361,470 units in 2013, representing a CAGR of 29.4%, and

21、 is expected to continue to grow to 674,762 units by 2017, representing a projected CAGR of 16.9% from 2013 to 2017, according to Frost & Sullivan.111Competiti on and key playersChi na's car ren tal market has wit nessed leadi ng players emerg ing from previous years of competiti on. Accord

22、ing to Frost & Sulliva n, the top three players in this market in aggregate accou nted for 10.8% of the market share by reve nues in 2013:Market share of top three players in China's car rental market by revenues, 2013aFIChina Auto Rental1.5%Total market siift RMB26.727 millionSource: Frost

23、& SullivanCompetition among car rental providers is primarily based on, among other things, rental price, user experie nee, brand recog niti on, convenience of service locati ons, geographic coverage and service quality.Growth drivers for the short-term car ren tal marketIn creas ing n umber of

24、driver's lice nses holders who do not own cars. Accord ing to Frost & Sullivan, there were 137.0 million driver's license holders and 34.5 million passenger vehicles in China as of December 31,2009, implying 102.5 million driver's licenses in excess of the number of passenger vehicle

25、s in that year. More recently, according to Frost & Sullivan, there were 217.0 million driver's lice nse holders and 88.2 milli on passe nger vehicles in China as of December 31, 2013, impl ying128.8 million driver's licenses in excess of the number of passenger vehicles. Hence, the numb

26、er of driver's license holders in China who do not own cars has been increasing, and is expected to continue to in crease, due to car purchase restricti ons in many Chin a's cities, con siderable costs of car own ership, in clud ing the purchase price of the car, lice nse plate quota, fuel,

27、park in g, repair and maintenance and112in sura nee. The chart below sets forth in formati on on the n umber of lice nsed drivers and passe nger vehicles in China in the periods in dicated:Number of driver's lice nse holders and passe nger vehicles in China, 2009-2017E Dnver's license holder

28、 China, 2006-2017ETola pdAseiger tfehides, Clirta, 2009-2017ESource: Frost & Sulliva nIn creas ing dema nd for leisure travel. Leisure travel usage is a major purpose for car ren tal services, as tourists in creas in gly favor an efficie nt and less-hassle on e-stop tran sportati on soluti on to

29、 desti nati ons. As disposable in come per capita in creases rapidly in China, domestic travel activities have in creased sig nifica ntly. Accord ing to Frost & Sulliva n, domestic tourist arrivals grew from202.8 million people in 2009 to 339.1 million people in 2013, representing a CAGR of 13.7

30、%. The substa ntial in crease in domestic travel activities has also resulted in sig nifica nt growth in domestic travel activities spe nding, which in creased from RMB1,290 billio n in 2009 to RMB2,948 billio n in 2013, represe nting a CAGR of 22.9%, accordi ng to Frost & Sulliva n. As Chi na&#

31、39;s eco nomy and disposable in come continue to grow, leisure travel activities in China are expected to in crease further, which in tur n, we believe, will drive113up the dema nd for this market sector. The chart below sets forth in formatio n on the domestic tourist arrivals and tourism consumpti

32、ons in China for the periods indicated:Domestic tourist arrivals and tourism con sumpti ons in China, 2009-2017E(arrivals in millio n)Source: Frost & SullivanShift in lifestyle towards driv ing as a preferred means of travel. With in creased wealth, people in China are changing their lifestyles

33、to increasingly accept and embrace driving as a preferred means of travel, which will ben efit the car ren tal and service in dustry in China. Un like older gen erati ons, which gen erally prefer to participate in orga ni zed group tours, the you nger gen erati on prefers more fashi on able and flex

34、ible travel pla ns such as being able to drive to their dest in ati ons and book accommodati on by themselves. Give n the low car own ership pen etrati on rate, many you ng people who do not have their own cars, may choose to tur n to car services. In additi on, urba ni zati on and in creas ing disp

35、osable in come in China has led to rising middle-class con sumers in rece nt years, who have str ong114spending power on leisure travel and new lifestyles. The chart below sets forth the different types of con sumers in Chi na:Different types of con sumers in China awvncunv 阳Kidk3NW20lnCAGfcRich con

36、RLricr20.4%Etilirii rniddJr-clas-BnKurncrvtrace newt12%d 剛 metifK.ivnSource: Frost & SullivanWe believe most leisure travelers are value-c on scious and expect such travelers to in creas in gly consider self-drive car services as their preferred choice of leisure travel transportation in order t

37、o ben efit from enhan ced efficie ncy and in timacy.Surging passe nger throughput from high-speed railways and airli nes, and improved accessibility of metropolita n areas by car. The rapid pace of developme nt in n ati onal high-speed railway n etwork and grow ing airli ne passe nger throughput has

38、 sig nifica ntly boosted the dema nd for last-mile car services, for both leisure and bus in ess travelers. Accord ing to Frost & Sulliva n, domestic high-speed railway traffic volume has in creased from 170 millio n passe ngers in 2009 to 530 millio n passe ngers in 2013, representing a CAGR of

39、 32.9%. At the same time, the domestic air traffic volume has steadily in creased from 231 milli on passe ngers in 2009 to 356 milli on passe ngers in 2013, represe nti ng a CAGR of 11.5%. We believe that the rapid expansion of China's high speed railway network, as well as the steady in crease

40、in air traffic volumes, will continue to gen erate stro ng dema nd for short-term car ren tal115services as a last-mile soluti on for both leisure and bus in ess travelers. The followi ng charts set forth the domestic high-speed train traffic volume and domestic air traffic volume for the periods in

41、dicated:High-speed train traffic volume in Chi na,2009 -2017EAir traffic volume in Chi na,2009 -2017E(arrivals in millio n)劄03 JW10 2011 翻诣 20132Q14E20120t7E(arrivals in millio n)Source: Frost & SullivanIn creas ing In ter net and mobile pen etrati on. The in creas ing trend of using the Intern

42、et, both PC and mobile, has had a sig nifica nt impact on the car ren tal and service market via on li ne book ings and pers on alized services, making it convenient for both customers as well as car ren tal and services providers. Accord ing to Frost & Sulliva n, from 2009 to 2013, the In ter n

43、et and mobile Internet pen etrati on rate has in creased from 28.8% and 17.5% to 45.4% and 36.7%, respectively. The Internet and mobile boom in China is anticipated to continue to facilitate the growth of the car rental market116 by streamli ning the car ren tai process and enhancing user access. Th

44、e follow ing charts set forth the internet and mobile penetration rates in China for the periods indicated:Overall in ter net pen etrati on rate in Chi naMobile internet pen etrati on rate in Chi nalOIHiiSource: Frost & SullivanPote ntial dema nds from gover nment in stituti ons and officials. H

45、istorically, gover nment officials in China typically used gover nmen t-ow ned vehicles, or official vehicles, whe n perform ing official duties. In July 2014, the PRC government initiated a reform program of official vehicle system, which aims to con trol the use of official vehicles and en courage

46、 gover nment officials to opt for alter native modes of tra nsportati on. For example, as a measure of sav ing gover nment spe nding, the PRC gover nment issued a guida nee on July 16, 2014, pursua nt to which official vehicles could only be used for special gover nment affairs or by high-level gove

47、r nment officials. As a result of such reform program, a large n umber of official vehicles are expected to be disposed of, and gover nment officials are expected to in creas in gly choose other tra nsportati ons as alter natives to official vehicles, which in dicates a pote ntial in crease in dema

48、nd for short-term car ren tals.Growth drivers for the lon g-term car ren tal marketIn creased car use by corporate clie nts. Car use by corporate clie nts is the key driver for lon g-term car ren tal market. With Chi na's expected steady GDP growth, in creased car use by corporate clie nts is ex

49、pected to continue to drive the growth of China's long-term car rental market.Maintenan ce, repairs and fleet man ageme nt services provide an importa nt value-added service. Maintenan ce, repair and fleet man ageme nt services accompa nied by lon g-term car ren tals provide additional attractio

50、ns to corporate clients to use long-term car rentals to save the hassle of maintaining their own fleets.Finan cial flexibilities and tax ben efits for bus in esses.Lon g-term car ren tals help to lowercorporate clie nts' tax expe nditures and also provide the ben efits of finan cial flexibilitie

51、s as compared to car purchases, which is a key incen tive for corporate clie nts to use lon g-term car ren tals as the primary means of hav ing a corporate fleet.Pote ntial dema nds from gover nment in stituti ons and officials. Historically, gover nment officials in Chi na typically used gover nmen

52、 t-ow ned vehicles whe n performi ng official duties. In July 2014, the PRC government initiated a reform program of official vehicle system, which aims to control the use of official vehicles and en courage gover nment officials to opt for alter native modes of tran sportati on. For117example, as a

53、 measure of sav ing gover nment spe nding, the PRC gover nment issued a guida nee on July 16, 2014, pursua nt to which official vehicles could only be used for special gover nment affairs or by high-level gover nment officials. As a result of such reform program, a large n umber of official vehicles

54、 are expected to be disposed of, and gover nment officials are expected to in creas in gly choose other tra nsportati ons as alter natives to official vehicles, which in dicates a pote ntial in crease in dema nd for lon g-term car ren tals.Chi na's car service marketMarket sizeThe car service ma

55、rket targets corporati ons and bus in ess travelers as the main customers. With in creas ing n umber of corporati ons and bus in ess activities in China, the market size of Chin a's car service market, as measured by reve nues, has in creased from RMB1.3 billi on in 2009 to RMB3.0 billio n in 20

56、13, represe nting a CAGR of 23.3%, and the fleet size has in creased from 6,338 units in 2009 to 13,530 units in 2013, represe nting a CAGR of 20.9%, accordi ng to Frost & Sulliva n.Drive n by the con ti nued growth of economy and in creas ing car usage among corporati ons, the market dema nd fo

57、r car services is expected to mai ntain a stable growth. Accord ing to Frost & Sulliva n, the market size of Chi na's car service market is expected to further in crease to RMB5.2 billio n by 2017, representing a projected CAGR of 14.8% from 2013 to 2017, and the fleet size is expected to fu

58、rther in crease to 21,679 units in 2017, represe nti ng a projected CAGR of 12.5% from 2013 to 2017.In addition, although the taxi market has not been included when measuring the size of China's car service market, the growth of Chi na's taxi market illustrates grow ing dema nds for car serv

59、ices from in dividual customers, and pote ntial growth in Chin a's car service market target ing in dividual customers. The chart below sets forth China's taxi market size by revenues for the periods indicated:Chi na's taxi market size by reve nues, 2009-2013I0G(I3(X12()015050Source: Frost & Sullivan118Competiti on and key playersAccord ing to Frost & Sulliva n, the top three players in Chin a's car service market in aggregate accounted for 11.6% market share in 2013, as measured by revenues. The chart below sets forth the market share of the